Massachusetts one of the friendliest states for LGBTQ businesses

​​Massachusetts is the third-friendliest state for LGBTQ-owned businesses and workers, according to a new report.

What's happening: Out Leadership's State LGBTQ+ Business Climate Index gave Massachusetts a score of 91.67, up 0.34 points from last year.

Why it matters: As more conservative states attract companies with business-oriented tax incentives, Massachusetts and other northeast states are trying to stay competitive by being more welcoming to a diverse workforce.

What they're saying: "When you combine that with the fact that there's an average of about 22,000 LGBT-owned businesses in Massachusetts, you have a perfect ecosystem to be able to be leaders in inclusion," Grace Moreno, executive director of the Massachusetts LGBT Chamber of Commerce, told Axios.

Details: The state received perfect 5-point scores in most categories, though it finished third overall, behind Connecticut and New York, because of some policy areas which Out Leadership thinks Beacon Hill could do better on.

• Mass. scored 3.67 of 5 in "family support," which assesses policies around adoption, assisted reproduction and family leave.
• 4 out of 5 in "health support," which gauges state and private health insurance coverage, including transgender-specific care.
• 3 out of 5 in "state employee coverage" for lacking similar care in insurance plans for government workers.
• 3 out of 5 in "HIV criminalization," due to state laws punishing exposure or transmission of HIV.